GM to Pay $220M Over Selling Drivers' Location and Behavior Data

3 min readSources: Courthouse News

GM settles for $220 million over unauthorized sales of driver data from its Smart Driver program.

Why it matters: This settlement highlights increasing legal and regulatory scrutiny on automakers’ use of consumer data. Legal professionals must watch compliance risks as connected vehicle technologies grow.

  • GM’s Smart Driver program (2016-2024) tracked driver behavior and sold that data to brokers without consent.
  • A coalition of 36 attorneys general led the $220 million settlement, including NY, OR, PA, and MA.
  • Over 370,000 drivers were falsely told via OnStar app they weren’t enrolled, while GM collected and sold their data.
  • As part of the deal, GM must limit data collection and secure express driver consent before sharing data.

General Motors (GM) agreed to a $220 million settlement with 36 state attorneys general to resolve claims it illegally sold drivers' private behavior and location data collected through its Smart Driver program from 2016 to 2024. The program enrolled millions of drivers and tracked detailed driving habits such as trip times, hard braking, and speeding, promising not to share data with insurers without explicit consent. Investigations revealed GM sold the data to brokers under contracts specifying insurance industry use, contradicting its stated policies.

A significant breach of trust came from the OnStar app, which misinformed over 370,000 drivers that they were not enrolled in Smart Driver, though GM was collecting and selling their driving data. The company quietly unenrolled these drivers without notifying them, allowing their data to remain with third parties.

The coalition included attorneys general from New York, Oregon, Pennsylvania, and Massachusetts. New York AG Letitia James said, "New Yorkers should never have to worry about a car company tracking their every move when they get behind the wheel." Oregon AG Dan Rayfield stated, "People bought a car, not a tracking device." Pennsylvania AG Dave Sunday and Massachusetts AG Andrea Joy Campbell echoed concerns about the deceptive use and sale of personal driving data.

Additionally, from 2020 to 2024, GM incentivized dealership employees with bonuses tied to customer enrollments in connected services including Smart Driver. This may have contributed to the widespread collection without explicit consent.

Following the settlement, GM is required to restrict the volume of driving data it collects and must obtain drivers’ express consent prior to any collection or sharing of this data. The case reinforces growing regulatory scrutiny, following a January 2025 FTC enforcement action against GM for sharing precise location and driving behavior data without consumer consent. In May 2026, GM also paid $12.75 million to settle a California probe over similar allegations.

By the numbers:

  • $220 million — settlement amount with 36 attorneys general
  • 36 attorneys general — states involved in the settlement coalition
  • Over 370,000 drivers — misinformed about Smart Driver enrollment via OnStar app
  • 2016-2024 — duration of GM's Smart Driver program